>> this is "bbc world news america." funding for this presentation is made possible by the freeman foundation of new york, stowe, vermont, and honolulu. newman's own foundation. and union bank. >> union bank has put its global expertise to work for a wide range of companies. america."

>> this is "bbc world news america," reported from washington. the scandals is spreading. from the royal family to the formal -- former prime minister. the allegis acting by the -- the alleged hacking by the murdoch empire could spread. why is canada completely empty? -- kenya completely empty? when it americans, the system as blood quantum helped them to identify their tribes. could be time for a change?

welcome to our viewers on pbs in america. another day and a more a extraordinary revelations in the hacking scandal surrounding rupert murdoch's empire. a reporter tried to buy top secret information about the royal family from one of its protection officers. another murdoch paper, "the sunday times," was alleged to try to get personal information on gordon brown when he was prime minister. >> the head of state, the royal family, their security is the duty of the police. the integrity of those officers must surely be beyond a doubt. this morning, the news of the world e-mail uncovered recently contained evidence that they were paying the royal protection

officers for private information about the royal family. it also emerged that the phones of prince charles and the duchess of cornwall might have been hacked. the former royal editor was requesting cash from the newspaper's editor to purchase a confidential directory of the royal family's land line numbers. it implies that a police officer had stolen the directory and wanted 1,000 pounds for it. these latest disclosures about systematic wrongdoing at "the news of the world," could not come at a worse time for the owner because they are trying to buy one of the most important media companies in the u.k., british sky. his newspaper corp. owns 39%.

the reason he would like 100% because this is a growing business generating huge amounts of cash. this year's profits are expected to close to 1 billion pounds whereas revenues of his famous newspapers are under pressure. for the past year, mr. murdoch has been arguing that the takeover should be allowed to go through without a lengthy investigation by the competition commission. this afternoon, in a germanic -- -- this afternoon, he withdrew to the undertaking. said that the delay in the takeover is better for him than the alternative of abandon it altogether. >> as a result of news corp's actions, i will refer this to the competition commission.

i will be writing to them. >> before rupert murdoch, the week has been an eternity in business. the long delay is perhaps the best he can hope for. >> on top of the mounting troubles, as we have mentioned, the bbc has learned that two other news international paper's allegedly targeted the former prime minister gordon brown. documents and a telephone recording alleges that the legal attacks were made to obtain his details when he was chancellor. what impact would this have on the global empire of rupert murdoch? we are joined from new york by the media editor for the "financial times." thank you for joining us. news corp. shares are down. is the scandal in danger of in danger in the entire empire?

>> i think you have to separate the two things. is there any allegation that similar behavior was taking place in any of the u.s. operations? there are no allegations. this is a fast-moving investigation. we don't know what it will throw up next. clearly, there has been contamination to the way that investors in the u.s. and around the world, they see the risks attached to part of the business they never paid much attention to, the u.k. newspapers. they are slow-growing and shrinking assets that were not a big part of the investor focus until last week. >> one group has accused rupert murdoch of treating the company like a family candy jar. do you think there could be growing unease among investors? >> for context, these are relatively small institutional investors. they have added this to their libby of complaints. we are picking up concern about

corporate governance. -- this has added to their litany of complaints. this sense that they failed to get a grip on the scandal has been running for so long, this is quite concerning to investors not just in terms of legal exposure but why was management not able to handle this better? that is changing people's appraisal of potential succession to mr. murdoch and the families' chances of appointing their own chosen successor. this is a company controlled by mr. murdoch and his family. >> if he was to sell or close to u.k. newspapers, would that help the overall business? would that isolate the problem, do you think? >> this is an idea was pitched to news corp. before the scandal because newspapers are slower growing that fox news, the chain will channel -- the cable channel, or the hollywood studios.

the idea has always been rejected by rupert murdoch. he loves income and paper. now, it is spoke about much more openly in the company. we are away from that. this would cut off a gangrenous leg of the company but this is a difficult thing to do. >> thank you for joining us with that analysis of the murdoch empire. in russia, president dmitry medvedev has urged that the investigation of all transport services after the sinking of a boat. 10 people are missing and feared dead. this is the worst reaction accident the country has seen in three decades. more than 200 people were on board when i witnesses say the boat keeled over in stormy weather. we have a report from moscow. >> as they broke over the river, teams of divers continued their

search not for survivors but four bodies. it is feared that more than 120 people drowned here when their pleasure boat sank on sunday afternoon. it was packed with passengers when it set sail on a weekend cruise. there were many children on board. on its return journey, the boat got into distress. it keeled over and sank within three minutes. when the divers searched the wreckage, this the tenet general said, they found no signs of life. -- this lieutenant general said, they found no signs of life. some people rescued by a passing pleasure boat. they were taken to the dock that their boats had sailed from. they are waiting on the shore to see if there are friends and families that survived.

two ships didn't stop even though we wave their hands, even though -- this man said. my three sisters had gone on the cruise, she said. one has telephoned to say she is alive, but i don't know about the others. the kremlin has declared tuesday a day of mourning across russia. the russian president, dmitry medvedev, has requested an urgent inquiry. investigators believe it was a combination of bad weather and mechanical failure which turned what should have been a pleasure cruise into a nightmare. >> in other news, the defense minister and the head of the army in cyprus have resigned after a huge explosions at a munitions dump which killed 12 people. the commander of the base was among those killed. these were blamed on a bush fire

igniting containers of explosives. the u.s. and french embassies in the syrian capital of damascus have been attacked by forces loyal to president assad. there was sharp criticism from the syrian government. this is currently the worst unitarian disaster in the world. that is how the u.n. commissioner for refugees is describing be drought ravaging east africa. -- describing the drought ravaging east africa. currently, more than 350,000 people are sheltering in a camp in kenya. it is from there that we were sent this report. >> every day, they wait. they are weary and hungry. more than 1000 people desperate to enter into the camp. some have been walking for days. this story is oppressively familiar. the drought broke earlier.

she had to leave a sick relative like so many others. he told me to save myself. save the children. don't stay around me to die. some of the village are already dead. this man right here with his wife and parents. on the long walk from somalia, his son died. he was crying all the time, there was nothing we could do. he was so hungry. he just gave up. we buried him by the roadside. the camp here is now overflowing. there are too many people calling out for help. >> it was billed for 90,000 people but it is already 370,000 people here and the camp director told me that it will reach half a million before the end of the year. that is beyond their resources to deal with. a short drive away, another sits

empty and the refugees crossing the border have no idea if they can get in. the local authority allowed the u.n. to build this place last year for emergencies. there are no tents, just houses. it is the permanence of the camp that later annoyed the government fearing the refugees would never want to leave. officials shut this place down. all these buildings remain shuttered for the time being. make no mistake, the government has been very generous in allowing tens of thousands of refugees to cross their borders to escape the drought. all of these empty buildings are an embarrassment given the severity of the crisis. >> this is very freshening that we have a camp that is taken must to build, that has fully functioning water systems, latrines, health care, and people are not allowed to use it. >> there are talks at the highest level between the u.n. and the government of kenya about relieving the pressure on

the camp. in the meantime, despite the overcrowding, the refugees will continue coming here. they have to, there is no were off to go. -- there is no where else to go. >> you are watching "bbc world news america," still to come -- months after the egyptian revolution was part, we get an opinion on where the country stands. thousands of mourners have flocked to the eastern bosnian town of trevor need said to mark 60 anniversary of the massacre. around 8000 muslim men and boys were killed as the serb troops overran an enclave. >> the pain is just as wrong. people are overwhelmed by the anguish of finding the remains. two tells nick -- two pelvic

bones and the lower jaw bone were all that was found. he was one of those killed back in 1995. today, just another coffin lowered into the ground. over 600 were buried on this anniversary and identified through dna analysis. statistics perhaps for those grieving, sons, husbands, fathers. this is the worst atrocity in europe since the second world war. thousands of bosnian muslims had crowded into the u.n. camp in srebrenica. the dutch troops were easily overrun by the serbian soldiers. the men and boys were let off. this is the only part of the war to be labeled genocide. bosnian serb commander, ratko mladic, was filmed the reassuring the children.

it was his troops that were charged with the killing. he evaded justice until this year. he was arrested in serbia and now he awaits trial in the hague. bosnia remains deeply divided between its main ethnic groups. as the digging goes on, the names of victims were read out, their families gathered and they've yearned for closure. the company -- the country is struggling to overcome the conflict. >> it has been six months since protesters and to initiate to post their president. this sparked a wave of unrest that has forever transformed the arab world. there are demonstrations in egypt. after the removal of hosting the bark, the country has struggled to recover economically. -- after the removal of ho hosni

mubarak. >> hot, dusty, crowded. life for the 8 million people of cairo has always been hectic. after that, political uncertainty. the daily commute has become a daily -- there is one man who ought to know people are talking about and thinking about. we will see if we can talk to him. five or six months ago, did you even hear the words democracy on this bus? >> no, no, no. it was all hush hush, he said. no one wanted to talk about those things. the state had eyes and ears everywhere. many people look at a police officer and they link you to the old regime. do you think that is fair?

he said, they were just doing their job. this is one of the many markets. the uprising has affected the economy. prices are soaring and the new minimum wage is not keeping pace. the local -- selelrs -- the local sellers are taking things down. midday, i join the regular is at a coffeehouse. the conversation went from sports to politics. many fear the revolution is being subverted and fundamental change is slipping away. >> we did not have a revolution to -- another one.

>> the regime is gone. >> no. >> time to head back into town. i was left feeling that the ordinary egyptians were losing patience. change will come slowly. >> i hope that all of the public will -- >> you hope it will get better? the burned out shell of the former party headquarters towers over tahrir square. the old and new order, the battle between them is still not over. >> for more on that battle for the future, i'm joined by the world editor of "time magazine." thank you for joining us tonight. tell me, as the arabs bring live up to its promise -- has the

arab spring lived up to the promise? >> people are trying to be patient. they want to have free and fair elections and the opportunity to choose their own leadership. this is taking a long time. there is a burden on the economy. you can see frustrations' boiling over every friday in tahrir square when people are processing about one thing or the other. you can have tens of thousands of people in one square and they are protesting what they are not all protesting about the same thing. they have very different grievances. the actual election, there are no dates. sometime in september or october. that will have to happen before we can assess what the revolution has wrought. >> to dec benefiting from that?

you mentioned the muslim brotherhood. >> who do you see benefiting from that? >> the muslim brotherhood has been far more organized. they have their own political party. they have a grass-roots movement. they have been very intelligent about moving to the center of the political spectrum. they have not talked about sharia or the women's roles in society. they have talked about the economy, investment. this is all very down the middle politics. >> did you sense any nostalgia for the stability of the past, repressive though it was? >> i'm afraid not. i did not see any of that. people seemed very happy to be rid of hosni mubarak and the old regime. i did not see anyone who was looking back and longing. there is frustration that the wheels are not moving faster.

>> where you left feeling optimistic for the future? >> i have been covering the middle east for a long time, it is hard to feel optimistic. i'm not as pessimistic as i was when i went in. i got the sense that the different political groups are coalescing and coming to a single national plan or identity. i will hold my judgment, just as the egyptians are. >> did you get a sense of which groups are benefiting more -- most from the change? >> the brotherhood again. the islamists are benefiting the most. some of them are extreme muslims and they are benefiting to the extent that they have a voice and they can speak freely. under the bark, they were oppressed. the youth movement that created this possibility seems to be lagging behind. -- under mubarak, they were

oppressed. >> i have to stop you. we appreciate it. now to a system known as blood quantum. this is the complex formulas used by hundreds of tribes to determine who is eligible to be a member. there are marriages between tribes and other races increase, this is becoming increasingly difficult where a person belongs. paul adams has been to north dakota to see whether a new system is in order. >> this family is at home. there unmistakably native american. actually, only 39.8%. their parents are from different tribes. when the girls were born, did not recognize each other's blood. there are still strict rules. >> they do not accept cherokee blood, navajo but -- blood, etc.

that leaves a good fraction out of my overall equation. they call it blood quantum, a system gnawing away at the indian societies. the tribes plan to their roots like gathering that this powwow. the mixing of non indian blood evidence in many faces, native americans intermarry more than any of the population in the country. this man has brought his son. his father has irish and danish blood. this all spells doom for their tribes. >> our tribe is almost gone. there are not many of us left in this world. my grandchildren, they will not be able to be enrolled unless i

marry someone who is also of the tribe. >> there is another reason why all this matters for communities where poverty has been a problem. the more members there are, the larger the pot of federal money for health care and education. they cannot afford to shrink. this reservation has one advantage lurking deep underground. with membership of the drive comes access to the tribes resources and for people living around here, that now includes oil. north dakota is in the grips of a furious will boom. -- oil boom. money and jobs have lured members back to the reservation. that still leaves the question of identity. if you can try and sometimes fail to uphold tradition, but at what point does the tribal blood

in your veins become too thin to be true than it is american? some say it is time for a different approach. >> one of the idea was to develop a citizenship packed with criteria. you have to visit and your family, you have to know your culture, you have to learn the language, if you have to visit -- >> some tribes have lowered the blood quantum requirement. it is how you live, and on numbers and fractions, that determine who you are. -- not numbers and fractions, that determine who you are. >> that brings us to the end of the broadcast. thank you for watching. we will see you very sen. if you need more details, go to our website. -- we will see you very soon.

>> make sense of international news at bbc.com/news. >> funding was made possible by the freeman foundation of new york, stowe, vermont, and honolulu. newman's own foundation. and union bank. >> union bank has put its global financial strength to work for a wide range of companies. what can we do for you? >> "bbc world news america" was presented by kcet los angeles.